AppFolio 1099 Tax Preparation

November is a very busy month for PM Bookkeeper. We begin our preparations for year end. One of the most important items to tackle early on is 1099s!

Key Information

AppFolio prepares 1099s for both vendors and owners. Some owners and vendors will not need to receive a Form 1099-B. Please check IRS code regarding who should and should not receive 1099s.

Printing and Filing Options

• AppFolio offers the ability to print 1099s for recipients (Copy B)
• If submitting paper 1099s to the IRS, you must purchase pre-printed forms to print 1099-MISC Copy A from AppFolio
• If e-filing, AppFolio can generate a compatible FIRE file to submit online to the IRS

E-Filing Requirements

You're required to e-file 1099s if you're filing 250 or more (owners and vendors combined). To e-file, you must apply for a Transmitter Control Code and create an account in the IRS's FIRE system.

Electronic 1099 Consent

Owners must provide consent if you're only sending them an electronic 1099. You do not need consent if sending both electronic and paper copies.

Mid-Year Go-Lives and Tax ID Changes

• For owners: If you included year-to-date totals for income GL accounts during data migration, you can produce 1099s from AppFolio. If not, you'll need to produce from both your old solution and AppFolio.
• For vendors: If the taxpayer is the management company for all properties, make sure there is a 1099 Balance Forward entered on the vendor's page.
• Tax ID changes: If your company changed its tax ID number mid-year, you'll need to complete 1099s manually for the current year.

Pro Tip

Start gathering W-9s from vendors now. Send blank W-9 forms to any vendors with missing tax information to avoid delays at year end.